SHANGHAI, Sept. 13 (SMM) -- Last week, SHFE lead markets showed only mild movement. After briefly falling to RMB 16,360/mt on Tuesday, SHFE lead prices rapidly rebounded to fluctuate between RMB 16,500-16,700/mt. SMM expects LME lead prices to move between USD 2,370-2,500/mt in the coming week, and in response, SHFE lead prices will fluctuate in the RMB 16,400-16,900/mt range.
In domestic spot markets, prices were stable. Prices for well-known brands were between RMB 16,200-16,350/mt, with discounts against SHFE 1110 lead contract around negative RMB 300/mt. Prices for other brands were between RMB 16,150-16,250/mt, but market supply was dominated by well-known branded lead. Traders were wary of purchases and downstream producers purchased goods on an as-needed basis, resulting in quiet trading. Domestic spot lead prices will remain weak due to soft futures prices. Market players will continue to stay out of the market as long as prices fluctuate and economic growth is uncertain. As a result, downstream buying interest is expected to remain low. Domestic lead smelter unwillingness to move goods at low prices will help keep prices firm, so domestic spot prices will move in the RMB 16,100-16,400/mt range, with discounts against SHFE 1110 lead contracts between negative RMB 300-400/mt.